Econ 919: Baker Hughes tracks pulse of industry
The city of Kenai is looking to grow its economic base. That begins with one of the city’s more abundant resources — land. Shaylon Cochran has more on the plans to catalog and encourage development around the city:
While the city of Kenai is interested in what's going on atop the land, Baker Hughes is heavily involved in what's going on below it. The billion-dollar oil field services company makes drilling implements and controls, and is responsible for the weekly count of how many drilling rigs are currently active.
The total U.S. rig count, including oil and natural gas, was 936 for the week ending January 19 — three less than the previous week. The rig count was significantly higher than 694 rigs reported during the same period in 2017. The total number of U.S. oil rigs recorded was 747 — down five from the previous week.
Speaking of Baker Hughes, in an end-of-the quarter and end-of-the year earnings call, the executives of Baker Hughes reported $22 billion in orders for 2017, with an operating income of $1 billion. The company reported that it invested approximately $600 million in research and development in 2017.
Baker Hughes' oilfield services earnings were up 10 percent from last year, courtesy of gains in North America, the Middle East, Latin America and Asia. But its equipment sales and turbomachinery businesses were down. However, its digital solutions segment rose 4 percent.